Following Jerome Powell’s August 22 speech, market participants fully reinstated projections for two Federal Reserve rate cuts before year-end, reflecting renewed confidence in monetary easing.
After Federal Reserve Chair Jerome Powell’s remarks on August 22, traders reinstated expectations that the central bank will deliver two interest rate cuts before the end of the year. This marks a reversal from the previous day, when bets had been scaled back, and highlights shifting sentiment in financial markets regarding U.S. monetary policy.